Dow's Worst June Since the Great Depression

[marmar]

from Bloomberg:



U.S. Stocks Tumble, Sending Dow to Worst June Since Depression

By Michael Patterson

June 26 (Bloomberg) -- U.S. stocks tumbled, sending the Dow Jones Industrial Average to its worst June since the Great Depression, as record oil prices, credit-market writedowns and a slowing economy threatened to extend a yearlong profit slump.

General Motors Corp., the largest U.S. automaker, plunged the most in three years as Goldman Sachs Group Inc. advised selling the stock and crude rose by $5 a barrel. Citigroup Inc. led the KBW Bank Index to an almost 10-year low as Goldman said the lender may report an $8.9 billion second-quarter charge and cut its dividend. Research In Motion Ltd., maker of the BlackBerry, posted its biggest drop since 2001 on concern competition with Apple Inc.'s iPhone is reducing earnings.

The Standard & Poor's 500 Index plunged 38.82, or 2.9 percent, to 1,283.15, its biggest drop in three weeks. The Dow decreased 358.41, or 3 percent, to 11,453.42, its lowest since September 2006. The Nasdaq Composite Index sank 79.89, or 3.3 percent, to 2,321.37, its worst loss since January. Almost nine stocks fell for each that rose on the New York Stock Exchange.

``Most investors are going to sit on the sidelines until they're more certain the sharks have left the waters and it's safe to go back in,'' said Bruce McCain, the Cleveland-based head of investment strategy at Key Private Bank, which oversees about $30 billion. ``The write-offs have been far worse than anyone would have imagined.''

Nike Earnings

All 10 industry groups in the S&P 500 retreated at least 1 percent as Nike Inc. said U.S. earnings dropped and Oracle Corp. predicted the slowest sales growth since 2006, adding to concern that consumers and businesses are cutting back as the economy expands at the weakest pace in five years. .......(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601087&sid=aT.gUZndgG7k&refer=home

[Hydra]

1. Doomsayer 55, Naysayers 0

I wish I weren't winning this game.

[whistle]

2. Ask John McCain how he would handle a 1929 style crash, or for that matter

...an Oct 19th 1987 crash

[Mojambo]

4. Frankly, I'd like to ask both of the candidates. n/t

[whistle]

12. You are probably right because I doubt if either of the candidates or the

...major political parties are prepared to address that type of reality. I think there would be a complete political meltdown

[butterfly77]

14. I'd rather it be the Dems handling it..

than the republicons, the CONs will only look out for the rich,,,

[Richardo]

11. Ask him how he DID handle the 1929 crash

Hey-yo!

[whistle]

13. At 71 John McCain was born in the middle of the Great Depression

...into a privileged family, he probably never knew there were economic hard times growing up

[Richardo]

15. That's a, I say that's a joke, son

[KeepItReal]

23. Ha!! Luv that Foghorn!

:-)

[nadinbrzezinski]

21. Not quite privileged, he was the son of a Navy officer

and that pay for the Navy is not that stellar. It wasn't back then, it is not today

[keep_it_real]

3. CNN is reporting the Dow is down 350

[ColbertWatcher]

5. How many days has the DOW fallen 300 points or more...

...during Dumbya's term?

How many historically?

Anyone know?

[Warpy]

7. What you want to look at is the % drop, not the number drop

and I'd say Stupid is the champ since the Depression. Even though it's still flat, I can't think of another administration that has seen a totally flat market or the decrease we're likely to see by the time we get these incompetent boobs out of office.

[ColbertWatcher]

17. Percentages, yes...

...I just recall a month when it seemed like every other week had a story about the Dow falling 400 or so points.

[ColbertWatcher]

20. Here's a helpful chart...

...showing the Dow from the time Dumbya was given the Presidency by the Supremes until today.

[patriotvoice]

25. Percentage drop data

I compiled the day-over-day percentage change from 3-January-1900 through 19-September-2007. The best and worst days are:

Top 10 Best Daily Gains by Percent
Date        Close    Prv. Cls % Change
----------- -------- -------- --------
1945-06-08  166.83   137.16   21.63%
1938-08-24  173.53   143.70   20.76%
1932-08-19   66.84    57.93   15.38%
1933-03-15   62.10    53.84   15.34%
1931-10-06   99.34    86.48   14.87%
1932-08-17   67.50    58.91   14.58%
1911-03-18   83.35    73.15   13.94%
1908-10-30   82.92    73.15   13.36%
1933-05-29   90.02    79.61   13.08%
1919-01-11   81.66    72.30   12.95%


Top 10 Worst Daily Loss by Percent
Date        Close    Prv. Cls % Change
----------- -------- -------- --------
1914-12-13    54.62    71.42  -23.52%
1987-10-19  1738.74  2246.74  -22.61%
1945-06-06   137.29   168.13  -18.34%
1938-08-25   144.07   173.53  -16.98%
1932-08-18    57.93    67.50  -14.18%
1929-10-28   260.64   298.97  -12.82%
1911-03-17    73.15    83.73  -12.64%
1919-01-10    72.30    82.76  -12.64%
1929-10-29   230.07   260.64  -11.73%
1908-10-29    73.15    82.72  -11.57%



And graphically, 1900-2007:


2000-2007:


Since I know how to lie with graphs, I'll let you draw your own conclusions. PM if you want the spreadsheet. The source data came from here:
http://www.analyzeindices.com/dow-jones-history.shtml

[knitter4democracy]

6. It's all a freakin' bubble.

Substitute tulip bulbs or 1929, and you'd be in the same spot.

[carlyhippy]

8. well, I guess it will be time for the "you lost your arse" stock portfolio statement from my broker

I get up a little, then lose it and more, this sucks.

Carly

[spanone]

9. those bu$h* ecomonic policies are just fucking GREAT!!!!

:sarcasm:

[slackmaster]

10. The big question is when to start buying again

The time for selling was a year ago.

[nadinbrzezinski]

16. They are joining the Cassandra CLUB NOW??????

Ok, haven't some of us been singing this song fer a while and for the record I am not shocked

Oh and bottom, we have not reached no stinking bottom... oh and yes we will see some limited rallies, but... we have not seen bottom

<--------- member of the Cassandra club... and sadly we have not been wrong

[Ghost Dog]

24. Yup. You just have to switch off the media chatter

and pay attention to the prime sources, as Internet facilitates us to do. :hi:

[malaise]

18. Even Tweety is discussing this

worst day since 2006. Bushco has spent like drunken sailors says the guest.
Tweety is cussing Wolfowitz now - Bwaaaaaaaaaaaaaaaaaah!
How does Bush not take responsibility for all these failed policies - :rofl:

[CatholicEdHead]

19. Market wanted an intrest rate cut yesterday

[L0oniX]

22. The only thing that trickles down from the rich bastards is diarrhea.